Category Archives: News

VICI Properties Inc. to Acquire Remaining 49.9% Interest in MGM Grand Las Vegas and Mandalay Bay Joint Venture from Blackstone Real Estate Income Trust, Inc.

Blackstone

New York – December 1, 2022 – Blackstone Real Estate Income Trust, Inc. (“BREIT”) and VICI Properties Inc. (NYSE: VICI) (“VICI Properties” or “VICI”) announced jointly today that they have entered into a definitive agreement in which VICI, currently owner of a 50.1% interest in the joint venture that owns MGM Grand Las Vegas and Mandalay Bay Resort, will acquire BREIT’s 49.9% interest in the joint venture for cash consideration of approximately $1.27 billion and VICI’s assumption of BREIT’s pro-rata share of the existing property-level debt. The property-level debt has a principal balance of $3.0 billion, matures in 2032, and bears interest at a fixed rate of 3.558% per annum through March 2030.

The properties, situated at the south end of the Las Vegas Strip in Las Vegas, Nevada, are subject to an existing triple-net lease agreement between the joint venture and MGM Resorts International (NYSE: MGM). The lease will generate annual rent of approximately $310 million upon the commencement of the next rental escalation on March 1, 2023.

Jon Gray, President and Chief Operating Officer of Blackstone, said, “VICI Properties has been an outstanding partner on these assets and we are incredibly pleased to have delivered such exceptional returns for our BREIT investors. Las Vegas continues to be a high conviction market for Blackstone.”

Edward Pitoniak, Chief Executive Officer of VICI Properties, said, “We have been honored to be BREIT’s partner in the MGM Grand Las Vegas / Mandalay Bay joint venture and this transaction further demonstrates the ability of Blackstone and VICI to work together productively, now and in the future. We’re excited to further our investment in MGM Grand Las Vegas and Mandalay Bay, two of the largest and highest-quality resorts in what we believe is the leisure and convention destination with the most compelling future demand outlook. This transaction also provides us with the opportunity to further grow our partnership with MGM Resorts International as they look to capitalize on the growing vitality of the South Strip.”

Scott Trebilco, Senior Managing Director of Blackstone Real Estate, said, “The sale of these assets is an excellent outcome for our BREIT investors and enables us to further concentrate BREIT’s portfolio in its highest growth sectors, including logistics and rental housing.”

The MGM Grand Las Vegas / Mandalay Bay triple-net lease has a remaining initial lease term of approximately 27 years (expiring in 2050) with two ten-year tenant renewal options. Rent under the lease agreement escalates annually at 2.0% through 2035 (year 15 of the initial lease term) and thereafter at the greater of 2.0% or CPI (subject to a 3.0% ceiling).

VICI Properties intends to fund the transaction through a combination of cash on hand, proceeds from the settlement of existing outstanding forward equity sale agreements and assumption of the remaining 49.9% of the existing property-level debt. VICI expects the transaction to be immediately accretive to AFFO per share upon closing.

The AAA Four Diamond Resorts, MGM Grand Las Vegas and Mandalay Bay, feature:

  • Over 18 million building square feet
  • Approximately 11,000 guestrooms and suites (including Four Seasons and Delano hotels) across the two iconic properties
  • Approximately 321,000 square feet of gaming space and 191 table games and 2,235 slot machines and electronic table games
  • Approximately 3.0 million gross square feet of state-of-the-art exhibition and meeting facilities
  • A variety of amenities for its guests, including multiple Michelin Star winning restaurants, The Mansion at MGM Grand, numerous entertainment venues, the MGM Grand Garden Arena (with approximately 17,000 seat capacity), Hakkasan Night Club, Topgolf, and destination pools and spas
  • Situated on 226 well-located acres on the Las Vegas Strip

The transaction is subject to customary closing conditions and is expected to be completed early in the first quarter of 2023.

PJT Partners and Barclays are serving as BREIT’s financial advisors, and Simpson Thacher & Bartlett LLP is acting as BREIT’s legal counsel. Morgan Stanley & Co. LLC is acting as exclusive financial advisor to VICI Properties, and Hogan Lovells is serving as legal advisor to VICI Properties.

About Blackstone Real Estate Income Trust
Blackstone Real Estate Income Trust, Inc. (BREIT) is a perpetual-life, institutional quality real estate investment platform that brings private real estate to income focused investors. BREIT invests primarily in stabilized, income-generating U.S. commercial real estate across key property types and to a lesser extent in real estate debt investments. BREIT is externally managed by a subsidiary of Blackstone (NYSE: BX), a global leader in real estate investing. Blackstone’s real estate business was founded in 1991 and has approximately $319 billion in investor capital under management. Further information is available at www.breit.com.

About VICI Properties
VICI Properties Inc. is an S&P 500® experiential real estate investment trust that owns one of the largest portfolios of market-leading gaming, hospitality and entertainment destinations, including Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas, three of the most iconic entertainment facilities on the Las Vegas Strip. VICI Properties’ national, geographically diverse portfolio consists of 43 gaming facilities comprising over 122 million square feet and features approximately 58,700 hotel rooms and more than 450 restaurants, bars, nightclubs and sportsbooks. Its properties are leased to industry leading gaming and hospitality operators, including Caesars Entertainment, Inc., Century Casinos, Inc., the Eastern Band of Cherokee Indians, Hard Rock International Inc., JACK Entertainment LLC, MGM Resorts International, Penn Entertainment, Inc., and The Venetian Las Vegas. The Company has a growing array of investing and financing partnerships with leading non-gaming experiential operators, including Great Wolf Resorts, Cabot, Canyon Ranch and Chelsea Piers. VICI Properties also owns four championship golf courses and 34 acres of undeveloped and underdeveloped land adjacent to the Las Vegas Strip. VICI Properties’ strategy is to create the nation’s highest quality and most productive experiential real estate portfolio. For additional information, please visit www.viciproperties.com.

Forward-Looking Statements
This press release includes “forward-looking” statements and “safe harbor statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and/or uncertainties, including those described in VICI’s and BREIT’s public filings with the Securities and Exchange Commission (the “SEC”). VICI and BREIT have based forward-looking statements on current expectations and assumptions and not on historical facts. Examples of these statements include, but are not limited to, expectations regarding the closing of the transaction, any benefits expected to be achieved as a result of the transaction and statements regarding future performance, including VICI’s expected accretion following completion of the transaction. These forward-looking statements involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated in such forward-looking statements include risks related to delays or impediments to completing the transaction and other factors described in VICI’s periodic reports filed with the SEC as well as those described under the section entitled “Risk Factors” in BREIT’s prospectus and its annual report for the most recent fiscal year and any such updated factors included in its periodic filings with the SEC, which are accessible on the SEC’s website at www.sec.gov. In providing forward-looking statements, neither VICI nor BREIT is undertaking any duty or obligation to update these statements publicly as a result of new information, future events or otherwise, except as required by law. If VICI or BREIT updates one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those other forward-looking statements.

Contacts

Blackstone
Jeffrey Kauth
Jeffrey.kauth@Blackstone.com
(212) 583-5395

VICI
David Kieske
EVP, Chief Financial Officer
DKieske@viciproperties.com

Danny Valoy
Vice President, Acquisitions & Finance
DValoy@viciproperties.com

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Gaw Capital Partners Completes Acquisition of Logistics Portfolio in Japan

December 1, 2022, Hong Kong – Real estate private equity firm Gaw Capital Partners announced today that the firm, through a fund under its management, has acquired a logistics portfolio with seven fully-let assets across Greater Tokyo, Japan.

The portfolio comprises of seven high-quality logistics assets with 76,593 tsubo (253,200 sqm) net rentable area, covering the circa 37 million population of Metropolitan Tokyo. All assets are located in popular logistics hubs across Greater Tokyo, offering a combination of excellent access to major cities nearby, attractive employment environment, and strong business continuity plan support.

The assets are located in Chiba, Joso, Hasuda, Hashimoto, Atsugi and Ashikaga, with most of the assets within a one-hour drive of central Tokyo. By leveraging Gaw Capital’s in-depth understanding of the logistics sector and local market knowledge, the firm plans to unlock the hidden value of the portfolio by carrying out a series of value-add strategies including cold storage conversion, and proactive asset management and ESG initiatives.

Isabella Lo, Managing Director and Head of Japan at Gaw Capital, said, “We are delighted to have completed our first logistics portfolio in Japan. With rising demand driven by continued urbanization and e-commerce, logistics assets in Japan continue to mature as an institutional asset class, increasingly attracting capital from both domestic and international investors. With the support from our experienced in-house team and local logistics partners, I believe we would fully unlock the returns.”

Joseph Chan, Managing Director, Principal – Investments at Gaw Capital, said, “We are delighted to have acquired the seven fully let logistics assets in Japan. We will integrate ESG elements, such as adding solar panels across the portfolio to reduce the carbon footprint of daily warehouse operations, obtain certification in green building rating programs such as LEED, CASBEE and WELL Building Standard, and ensure the logistics assets fulfil the ESG requirements of international logistics tenants. We also see strong value-add potential in several properties across the portfolio, which will be unleashed by Gaw Capital with our experience and track record across other APAC regions. Responding to Japan’s rising demand for cold storage facilities, our value-add strategy will include capturing the opportunity in this niche market by bringing in our expertise in recent successful cold storage conversions regionally.”

The population in Tokyo continues to grow, driving demand for various goods consumption and the subsequent demand for logistics. The e-commerce market in Japan saw impressive growth during the pandemic, reaching JPY 20 trillion in 2021, and this rapid change consequently increased the demand for logistics facilities. Despite this strong growth, e-commerce penetration in Japan continues to lag other developed markets, and the strong growth potential is fueling the future demand for logistics.

Gaw Capital Partners was named ‘Alternatives Investor of the Year: Asia’ at the PERE Awards 2021 after receiving the largest number of votes in a public ballot of the real estate industry. The company started to acquire, develop and manage modern logistics facilities with local partners in China since 2014. The logistics platform has circa 100 professionals with strong in-house expertise covering the full spectrum of business development, investment, construction, leasing and property management. Over the past eight years, the platform has invested in nearly 40 projects with circa 4 million sqm in China. Through funds under its management, Gaw Capital also acquired and managed logistics projects in Australia and Vietnam.

-END-

 

About Gaw Capital Partners

Gaw Capital Partners is a uniquely positioned private equity fund management company focusing on real estate markets in Asia Pacific and other high barrier-to-entry markets globally.

Specializing in adding strategic value to under-utilized real estate through redesign and repositioning, Gaw Capital runs an integrated business model with its own in-house asset management operating platforms in commercial, hospitality, property development, logistics, IDC and education. The firm’s investments span the entire spectrum of real estate sectors, including residential development, offices, retail malls, serviced apartments, hotels, logistics warehouses and IDC projects.

Gaw Capital has raised seven commingled funds targeting the Greater China and APAC regions since 2005. The firm also manages value-add/opportunistic funds in the US, a Pan-Asia Hospitality Fund, a European Hospitality Fund and a Growth Equity Fund, and it also provides services for credit investments and separate account direct investments globally.

Since 2005, Gaw Capital has commanded assets of US$34.3 billion under management as of Q2 2022.

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HYPR, the Leader in Phishing-Resistant MFA, Raises $25M

.406 Venture

NEW YORK, NY – December 1, 2022 — HYPR, the Passwordless Company, today announced a $25 million Series C1 led by Advent International through Advent Tech, the firm’s dedicated global technology fund. The investment brings HYPR’s total funds raised to $97 million and includes participation from existing investors including .406 Ventures, RRE Ventures, Top Tier Capital, and Comcast Ventures. The new injection of capital will be used to expand HYPR’s go-to-market strategy and R&D efforts and to accelerate its mission Fix the Way the World Logs In.

Recent HYPR research revealed that 89% of organizations experienced at least one phishing attack within the past year at an average cost of $2.19M. Legacy authentication solutions have failed to keep pace with the industrial-grade tooling easily available to attackers. In response, industry officials, including CISA, have urgently advised organizations to eliminate passwords and adopt phishing-resistant MFA such as HYPR’s passwordless solution.

“Passwords and Legacy MFA solutions that are supposed to keep organizations safe are actually putting them at tremendous risk, “ said Bojan Simic, CEO of HYPR.  “These outdated technologies make organizations an easy target for hackers using readily-available online tools to automate and scale attacks. Furthermore, the user experience with these legacy methods is so frustrating that users bypass the security controls, which gives hackers further vulnerabilities to exploit.  The new investments will advance our efforts to help organizations keep their employees and customers safe while significantly reducing the astronomical costs of passwords.”

HYPR is a pioneer in passwordless authentication and has demonstrated tremendous momentum over the past 24 months.  HYPR’s solution offers a consistent passwordless authentication experience regardless of the heterogeneity of a customer’s infrastructure. Enterprises who have deployed HYPR’s phishing-resistant MFA on a worldwide basis include 2 of the 4 largest US banks, Fortune 500 manufacturing conglomerates, and global insurance providers.

“As a Fintech institution, we face an increasingly complicated threat landscape,” said Dawn Watters, SVP of Identity & Data Protection at Fiserv.  “We selected HYPR for the completeness of their passwordless authentication solution and the overall user experience. Working with HYPR will significantly reduce our exposure to phishing attacks and improve our overall enterprise security while using the latest FIDO standards.”

HYPR is deploying passwordless solutions to hundreds of thousands workforce users per quarter while also rapidly enabling the adoption of passwordless technologies in the consumer identity space.

“The HYPR team has built one of the most significant phishing-resistant MFA solutions that is deployed at scale globally,” said Eric Noeth, Partner at Advent International. “The growing deployment momentum demonstrates HYPR’s ability to give organizations a proven passwordless alternative to replace failing systems based on the password. We continue to be impressed by the pace of HYPR’s innovation and leadership in the passwordless authentication space and we’re excited to continue our partnership with the HYPR team in this next phase of their journey.”

HYPR’s market leadership has grown based on the company’s early adoption of the FIDO (Fast IDentity Online) standard, which has garnered broad industry acceptance.  Earlier this year, platform leaders including Google, Apple and Microsoft committed to expand their support of the FIDO standards to accelerate the availability of passwordless logins.

“HYPR has been a long-time supporter of the FIDO Alliance, and their FIDO Certified products have underpinned some of the industry’s flagship FIDO implementations with leading enterprises around the world,” said Andrew Shikiar, Executive Director and CMO of the FIDO Alliance.  “As a member of FIDO’s Board of Directors for the past five years, HYPR has played a critical role in developing and advancing the FIDO standards – working alongside other leading companies in the Alliance to fulfill our collective mission of reducing reliance on passwords in favor of simpler, stronger user authentication.”

About HYPR

HYPR fixes the way the world logs in. HYPR’s True Passwordless™ MFA platform decouples authentication from the organization’s identity providers and eliminates the traditional trade-off between security and user experience by providing uncompromising assurance and consumer-grade experience. By eliminating the password and deployments taking hours rather than weeks or months, organizations decrease the risk of a cyber attack, increase positive user experience, and lower operational costs.

Welcome to The Passwordless Company®. Additional information is available at https://www.hypr.com

About Advent International

Founded in 1984, Advent International is one of the largest and most experienced global private equity investors. The firm has invested in over 400 private equity investments across 41 countries, and as of June 30, 2022, had $96 billion in assets under management. With 15 offices in 12 countries, Advent has established a globally integrated team of over 285 private equity investment professionals across North America, Europe, Latin America and Asia. The firm focuses on investments in five core sectors, including business and financial services; health care; industrial; retail, consumer and leisure; and technology. For over 35 years, Advent has been dedicated to international investing and remains committed to partnering with management teams to deliver sustained revenue and earnings growth for its portfolio companies.

For more information, visit

Website: www.adventinternational.com
LinkedIn: www.linkedin.com/company/advent-international

Contact

Carol Dullmeyer
Vice President, Brand and Corporate Communications
carol.dullmeyer@hypr.com

Sophia Templin or Amanda Muccio
FGS Global for Advent International
AdventInternational-US@fgsglobal.com

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Tesi’s Growth Company Pulse Survey: Companies still forecasting growth – labour shortages a handicap

Tesi

Tesi’s survey, now conducted for the sixth time, covers unlisted companies comprising at least five people in Finland’s major business sectors.

The companies surveyed forecast average growth in net sales of 8.5% for 2022 and 5% for 2023, which roughly corresponds to the European Central Bank’s inflation forecasts. Corresponding growth estimates for strongly growth-oriented companies are many times higher than these averages.

“Our survey shows that strongly growth-oriented companies excelled themselves amidst multiple crises and have managed to realise their expectations in a difficult environment. This select group probably includes the stars, which define Finland’s future by transforming the country’s business ecosystem and boosting productivity,” points out CDO Henri Hakamo, who heads Tesi’s Development team.

Growth prospects are dampened, however, by major labour shortages. The survey indicates that almost 60% of the companies are suffering from labour shortages. Of these companies, one-sixth find the issue an obstacle to normal operation and almost one-half an obstacle to growth. The worst shortage is in the accommodation & food services sector. Across all sectors, at least one-half of the companies are suffering from labour shortages, and one-sixth report the shortage depressing their net sales by over one-tenth.

VC&PE-backed companies investing in growth

Companies backed by venture capital and/or private equity have bolder investment plans than their peers and also plan bigger increases in their R&D investments.

One-third of all the companies are planning to increase their investments compared to almost 60% of VC&PE-backed companies planning increases. These figures are broadly similar to last year’s level.

One-third of all the companies and some 80% of VC&PE-backed companies conduct R&D activities. One-fifth of all the companies and over one-half of VC&PE-backed companies plan to increase their R&D activities. These figures are broadly similar to those of one year ago.

“Companies have succeeded in adapting their operations in Finland and in battling through challenging times with commendable results. This is the big picture our questionnaire survey portrays. Venture capital and private equity-backed companies have performed well and even show surprisingly good prospects,” summarises Henri Hakamo.

Key Figures

  • Net sales are forecast to grow in 2023 at the same pace as inflation. All surveyed companies +5%, growth-oriented companies 26%, and VC&PE-backed companies 24%.
  • EBITDA is forecast to rise in 2023 by an average 2.7 percentage points to roughly 15%. The same level of 15% is also expected by VC&PE-backed companies.
  • Labour shortages are impacting 57% of the companies. Of these companies, labour shortages are an obstacle to normal operation for 17% and an obstacle to growth for 47%. The most acute labour shortage is in accommodation & food services (70%).
  • Electricity savings measures have been adopted by 50% of the companies, while 43% have made investments in saving energy.
  • Investment is forecast to increase in 32% of all the companies and in 57% of VC&PE-backed companies. Investment as a proportion of net sales is estimated as 8% in the former group, and 20% in the latter group.
  • R&D activities are currently conducted by 35% of all companies, 66% of strongly growth-oriented companies, and 81% of VC&PE-backed companies. An increase in R&D activities is planned by 20% of all companies, 40% of strongly growth-oriented companies, and 54% of VC&PE-backed companies.

The Growth Company Pulse Survey is a survey of small & medium-sized enterprises (SMEs) jointly conducted by Tesi and Taloustutkimus. The survey addresses pertinent issues such as growth, profitability, financing, investment, labour shortages and expertise. Altogether 1,575 companies participated in the survey during the response period of 11 October – 18 November 2022. The survey covers the most important sectors of Finland’s economy (8/16 sectors). Companies of less than five people were excluded from the survey, but no upper limit was set for net sales.

Read more:

More information

Henri Hakamo, +358 (0)40 050 2721, henri.hakamo@tesi.fi, CDO
Susanna Aaltonen, +358 (0)40 593 4221, susanna.aaltonen@tesi.fi, Director, Communications

Link to Henri Hakamo’s photo

Tesi wants to raise Finland to the forefront of transformative economic growth. We develop the market, and work for the success of Finnish growth companies. We invest in private equity and venture capital funds and directly in growth companies. We provide long-running support, reasoned insights, patient capital, and skilled ownership. tesi.fi | Twitter  | LinkedIn  | Newsletter

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Audax Private Equity Completes Investment in Salon Lofts

Audax Group

BOSTON & COLUMBUS, Ohio — Audax Private Equity (“Audax”) announced a strategic growth investment in Salon Lofts (“the Company”), one of the largest developers and operators of company-owned salon suites. This investment will support Salon Lofts in its mission to provide Beauty Care Professionals (“BCPs”) with the individual space and value-add services to support and grow their own businesses outside of the traditional salon model, allowing them to become Loft Owners.

Based in Columbus, Ohio, Salon Lofts has over 210 stores across 10 states, and provides nearly 5,500 Loft Owners access to private salon suites. The unique salon-suite model empowers BCPs to operate their own businesses, set their own hours and pricing, use their own preferred products, and ultimately retain more profits. Additionally, the salon-suite model provides BCPs with access to value-add services and support, including booking and client-management support, social media coaching, and educational events.

Steve Schillinger, CEO of Salon Lofts, said, “We are thrilled to partner with Audax and look forward to benefitting from their deep expertise with both consumer and multi-site business models. This partnership will allow us to meet the growing demand from BCPs to become their own business owners. With the support of Audax, we will continue to expand our salon footprint through acquisition, new unit openings and service offerings. Moreover, we will maintain our focus on the highest possible quality experience for our Loft Owners and their clients.”

“We commend Salon Lofts’ team on building an impressive brand while quickly scaling the business across multiple geographies,” said Jason Ellis, Managing Director at Audax Private Equity. “The business has experienced tremendous growth while providing unique services that enable BCPs to grow their own businesses. We look forward to partnering with Steve and the Salon Lofts team in their next phase of growth.”

Raymond James acted as financial advisor and Ledbetter Wanamaker Glass served as legal counsel to Salon Lofts. Ropes & Gray LLP served as legal counsel and North Point Advisors and Fifth Third Securities served as advisors to Audax. Terms of the transaction were not disclosed.

ABOUT AUDAX PRIVATE EQUITY

Audax Group is a leading alternative investment manager with offices in Boston, New York, San Francisco and London. Since its founding in 1999, the firm has raised over $32 billion in capital across its Private Equity and Private Debt businesses. Audax Private Equity has invested over $9 billion in more than 150 platforms and over 1,100 add-on companies, and is currently investing in add-ons out of its $3.5 billion, sixth private equity fund. Through its disciplined Buy & Build approach, Audax seeks to help platform companies execute add-on acquisitions that fuel revenue growth, optimize operations, and significantly increase equity value. With more than 360 employees and over 150 investment professionals, the firm is a leading capital partner for North American middle market companies. For more information, visit the Audax Private Equity website, at www.audaxprivateequity.com, or follow us on LinkedIn.

Categories: News

Argos Wityu to acquire IJssel Technologie

argos wityu

The common objective is to reinforce IJssel Technologie’s robust market position in accelerating commercial developments, boosting innovation, contributing to the energy transition, and deploying a clear M&A strategy.

Argos Wityu has reached an agreement with the shareholders of IJssel Technologie to become majority shareholder of the Dutch industrial maintenance services provider. Wadinko will remain as a minority shareholder alongside Argos Wityu. This acquisition marks Argos Wityu’s fifth investment by its MidMarket fund VIII.

Founded in 1992 from the process engineering department of Scania in Zwolle, Ijssel has been supported by the current shareholders since 2004. The business is active in (predictive) maintenance and optimization for industrial production and process industries. With its high reputation and its loyal workforce of over 400 employees, IJssel provides skilled services to clients active in basic materials, chemicals, food & beverages and transport. The company is known as a specialized maintenance provider with a high degree of technical knowledge, a customer-centric approach, and a brand strongly recognized in the Dutch industrial maintenance market.  In 2021, the company’s revenues were €59m.

The current shareholders are enthusiastic about this next step for the company and its employees. Argos Wityu was selected as partner for their understanding of the business, core skillsets in growth and operational excellence, and track record in successful (international) buy & build programs. Wadinko, a provincial fund focused on employment in the region, will remain as a minority shareholder alongside Argos Wityu.

IJssel will continue to provide its high-quality services and support its clients in the best manner.

The transaction is subject to conditions and approvals including but not limited to the Works Council and the Dutch market authorities.

Richard Reis, Partner at Argos Wityu said “Argos Wityu is proud to have been chosen by the historical shareholders of IJssel and glad to build this new partnership with this very successful Dutch company. We will strive to preserve the group’s DNA, develop its market-leader identity and structure its growth.”

Han Leemhuis, Investment Manager at Wadinko added: “We look forward to continue as shareholder alongside with Argos Wityu and unroll all the opportunities included in the business plan.”

Argos Wityu team: Gilles Mougenot, Richard Reis, Roel van Ark, Skyler van Wezel

Buyer advisors
Corporate Finance/M&A – Deloitte (Onno Vos, Jeroen van Leeuwen, Jeffrey Riesmeijer, Guy Valette)
Strategy & Commercial – Deloitte VCS (Karin de Sousa Nobre, Walter Lutz, Jig Sevinga)
Financial – PwC (Cornelis Smaal, Khayyam Butt, Nick de Leeuw)
Legal – Houthoff (Bram Caudri, Ivar Brouwer, Jeanne Beck, Sylvia Dikmans, Diede van der Voort)
Pension – HVG Law (Nicolette Opdam, Roderick Buijs, Inge Renes)
Tax – PwC (Bart Weijers, Joey Schellingerhout)
Insurance – Aon (Ingrid van Bussel, Richard Stemerdink)
ESG – Tauw (Hans Nieuwenhuis, Julian Stempher, Nick Distelbrink)

Seller advisors
Corporate Finance/M&A –  Oaklins (Arjen Kostelijk, Martijn de Win, Ruben Knooren, Baran Temur)
Strategy & Commerical – Roland Berger (David van der Does, Maarten Roelofsma, Bart Woltjes
Financial – Accuracy (Leontine Koens-Betz, Barry van der Vliet)
Legal – Loyens&Loeff (Herman Kaemingk, Eline de Ruijter, Frank Bambacht, Sandrine Lekkerkerker)

Argos Wityu

Coralie Cornet
Director of Communications
ccc@argos.fund
+33 1 53 67 20 63

Wadinko

Han Leemhuis
h.leemhuis@wadinko.nl
+31 6 51 84 55 81

About Argos Wityu / www.argos.wityu.fund
One firm, two strategies. Argos Wityu is an independent European private-equity group that supports the growth of mid-sized business and back their management teams.

With more than €1.4bn assets under management, over 30 years of experience and more than 90 businesses assisted, Argos Wityu operates from offices in Brussels, Frankfurt, Geneva, Luxembourg, Milan, and Paris. The group seeks to acquire majority stakes and invests between €10m and €100m in each investment of its two strategies:

  • The MidMarket fund helps companies implement ownership transitions to accelerate growth
  • The Climate Action fund aims at shaping European sustainable leaders by making their ‘grey-to-green’ transition.

About IJssel Technologie / www.ijssel.com

IJssel is a leading Dutch provider of engineering, installation, (predictive) maintenance and (production) optimization services for industrial customers and is involved in a significant part of the industrial services value chain. Via over 400 employees it offers its services via 7 locations in the Netherlands, both as professional service provider and outsourced technical department.

About Wadinko / www.wadinko.nl

Wadinko is a private equity company with social impact and an entrepreneurial approach. Wadinko offers risk capital, management support, and shares its knowledge and networks. In addition, Wadinko has adopted a social commitment to stimulate healthy local commercial activity and employment in the Dutch regions of Overijssel, the Noordoostpolder and south-west Drenthe. This manifests itself in substantial minority interests, realistic return requirements, and a focus on the continuity of shareholdings. As of 2022, Wadinko has holdings in 26 companies, employing 4,250 people.

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FSM Group has joined Ambitious People Group

Capital-A

FSM Group has joined Ambitious People Group with the backing of Investment company Capital A. Ambitious People Group has acquired a majority stake in the FSM Group, an international recruitment consultancy operating with four brands in 5 countries. Ambitious People Group is advancing its 2026 Vision through its strategy of Organic Growth, Buy-and-Build and Digitalisation.

Four brands, five countries

The current management of FSM Group will remain on board. In fact, several key managers will also join as shareholders. David Jacob, MD: “We are very excited about this partnership as it will allow us to further our growth plan in opening up new offices, new brands, and joining a very like-minded firm in Ambitious People Group”.

Continuing ambition

FSM Group has four specialized brands: James Woodman (Finance Recruitment), Eye Tech Solutions (IT Recruitment), Fuse Engineering and LEDR Executive Solutions. With nearly one hundred and fifty employees and 8 offices, the company is in five countries, with its headquarters in Brussels. FSM Group was awarded a Trends Gazelle for 2020 – an award for the fastest growing companies in Belgium – and Best Place to Work in 2022.

Strong growth

Dennis Grefkens, Ambitious People Group, CEO: “We are very impressed with the strong international growth that FSM Group has shown year after year. We believe that the ambitions of FSM perfectly fits with those of APG. Together we will continue to focus on digitalization, accelerated international growth and buy-and-build.”

About FSM Group

FSM Group (Fun, Success, Meritocracy) is an international recruitment consultancy, active in five countries, with just under one hundred and fifty employees, and eight physical offices in five countries. The Brands are James Woodman, EyeTech Solutions, Fuse Engineering and LEDR Executive Solutions. Started in Brussels in 2008, its specialized, candidate centric approach has ensured fast growth, and earmarked it as a market leader in helping candidates, clients and staff reaching their full potential.

About Ambitious People Group

Ambitious People Group is an international recruitment consultancy, active with five brands, almost two hundred employees and twenty-four offices in six countries. The brands are SAM Recruitment, Ardekay IT Recruitment, LMH Engineering, Four Life Sciences and Five Finance. Since our start in Amsterdam in 2007 we have been matching candidates and companies in different, specific sectors. Our mission is to help people and organizations to realize their ambitions. Our consultants with their specialism, deep market knowledge and large database are indispensable to make the right match. Ambitious People Group was awarded a FD Gazelle for ten consecutive years. That is an award for the fastest growing companies in the Netherlands. Grefkens: “We have doubled every four years. Together we will accelerate that growth path further.”

About Capital A

Capital A is one of the longest active private equity investors in the Netherlands, with a focus on investing in very fast (both autonomous and acquisitive) growing companies. Originally started at ABN AMRO in the 1980’s as an investment fund focused on SMEs, Capital A continued independently in 2018 with support from investors such as ABN AMRO, Five Arrows, Alpinvest, Bregal, LGT, entrepreneurs of former portfolio companies and the Capital A team itself. From offices in Amsterdam and Antwerp, Capital A manages approximately EUR 900 million in assets under management and has a portfolio of more than 30 growth companies that are predominantly active in Europe.

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KKR Completes Tender Offer For Hitachi Transport System

KKR

TOKYO–(BUSINESS WIRE)– Global investment firm KKR announced today that its tender offer for the common shares of Hitachi Transport System Ltd. (“HTS” or the “Company”; TSE stock code 9086) concluded on November 29, 2022. The cash tender offer was through HTSK Co., Ltd. (the “Offeror”), a special purpose entity owned by the investment funds managed by KKR. Approximately 51.11% of the common shares have been tendered and will be acquired by the Offeror. Settlement of the tender offer will commence on December 6, 2022.

In addition to the shares acquired during the tender offer, the Offeror will acquire the remaining shares of HTS through a squeeze-out process which, combined with a buyback by HTS of the shares held by Hitachi Ltd., will result in the Offeror owning 100% of the shares of HTS.

HTS is a leader in the third-party logistics business (“3PL”) in Japan. The Company provides supply chain solutions for customers who outsource logistics functions such as logistics system integration, inventory and order control, logistics center operations, factory logistics, and transportation and delivery services. HTS has a strong domestic 3PL business as well as an international business which includes forwarding business and related 3PL business.

This tender offer will be financed predominantly from KKR’s Asia IV Fund.

Hiro Hirano, Co-Head of Private Equity for KKR Asia Pacific and Chief Executive Officer of KKR Japan, said, “We are pleased with the results of this tender offer and to begin our strategic partnership with Hitachi Transport System. We look forward to utilizing KKR’s global network and expertise to help Hitachi Transport System become the leading 3PL company in Asia. Now more than ever, 3PL is vital to the trade flows and the global economy. Our goal is to help HTS grow its business through increasing its innovative supply chain solutions for its clients and business partners around the world.”

HTS will be renamed LOGISTEED, Ltd. from April 1, 2023, a name that combines LOGISTICS with Exceed, Proceed, Succeed, and Speed, which represents the Company’s determination to be a leading global 3PL provider for its clients and business partners.

HTSK Co., Ltd. “Announcement Regarding Results of Tender Offer for Shares of Hitachi Transport System, Ltd. (Securities Code 9086)”

About KKR

KKR is a leading global investment firm that offers alternative asset management as well as capital markets and insurance solutions. KKR aims to generate attractive investment returns by following a patient and disciplined investment approach, employing world-class people, and supporting growth in its portfolio companies and communities. KKR sponsors investment funds that invest in private equity, credit and real assets and has strategic partners that manage hedge funds. KKR’s insurance subsidiaries offer retirement, life and reinsurance products under the management of Global Atlantic Financial Group. References to KKR’s investments may include the activities of its sponsored funds and insurance subsidiaries. For additional information about KKR & Co. Inc. (NYSE: KKR), please visit KKR’s website at www.kkr.com and on Twitter @KKR_Co.

KKR Media
Anita Davis
+852 3602 7335
Anita.Davis@kkr.com

Wei Jun Ong
+65 6922 5813
WeiJun.Ong@kkr.com

FGS Global (for KKR Japan)
Samuel Brustad
+81 70 3853 3284
Samuel.Brustad@fgsglobal.com

Source: KKR

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EQT Infrastructure enters exclusive negotiations to acquire a majority stake in Trescal, a global leader in calibration laboratories

eqt
  • EQT Infrastructure enters exclusive negotiations to acquire a majority stake in Trescal, a global leader in calibration laboratories, from OMERS
  • Trescal provides essential and regulated calibration services via a network of more than 380 laboratories, for testing and measurement equipment in transport, healthcare, telecom, and other sectors
  • EQT Infrastructure will support the continued development of Trescal and its pursuit of growth opportunities in current and new markets, drawing on EQT’s global footprint, industrial DNA and extensive experience in the Company’s key end-markets such as telecom and healthcare

EQT is pleased to announce that the EQT Infrastructure V (“EQT Infrastructure”) fund has entered exclusive negotiations to acquire a majority stake in Trescal (the “Company”) from Ontario Municipal Employees Retirement System (“OMERS”), which will remain a minority investor alongside EQT Infrastructure.

Headquartered in Paris, France, Trescal is a global leader in calibration laboratories providing essential and regulated calibration services for testing and measurement equipment in a diverse range of critical end-markets such as transport, healthcare, telecom and other sectors. Formerly part of Air Liquide and established as an independent company in 2007, Trescal is today one of the world’s largest owners and operators of third-party calibration laboratories with a global network of more than 380 facilities spanning 29 countries. The Company employs 4,400 people and has an annual turnover of around EUR 450 million.

Trescal provides mission-critical and regulated calibration testing to ensure that the quality of essential products meets the most stringent requirements. The demand for its solutions are underpinned by clear industry trends including the increasing number and complexity of testing and measurement instruments, as well as more stringent quality and regulatory standards. Investment in Trescal provides strong resilience towards macroeconomic headwinds due to the mandatory, time-based rather than volume-based service, the recurring nature of its offering, and its loyal customer base.

EQT Infrastructure will support the continued development of Trescal and its pursuit of growth opportunities in current and new markets, drawing on EQT’s global footprint, industrial DNA, and extensive experience in the Company’s key end-markets such as transport, telecom and healthcare. Moreover, EQT will support Trescal in further digitizing its operations, employing EQT’s in-house expertise and global track record of developing strong companies within the technology sector.

Christoph Balzer, Partner within EQT Infrastructure’s Advisory Team, said: “EQT Infrastructure has followed Trescal for a long time. We are deeply impressed by the management team’s achievements in  creating a global leader in calibration laboratories with a differentiated one-stop-shop offering to serve its customer’s requirements. We believe EQT’s track record of building global companies, industrial DNA, and value-add approach strongly positions us to support the Company in its next phase of growth.”

Thomas Rajzbaum, Managing Director and Head of EQT’s French Infrastructure Advisory Team, added, “Trescal provides mission-critical services to its industrial customers in essential end-markets that are experiencing increasingly stringent requirements. We look forward to further strengthening Trescal’s market position through increased investment in the breadth of its laboratories’ capabilities and footprint, commercial excellence, sustainability and cutting-edge digitization.”

Guillaume Caroit, CEO of Trescal, said: “We at Trescal are very keen to welcome EQT as our new owner and look forward to benefiting from the capabilities and experience EQT offers. We are confident that together with EQT Infrastructure we have the right partner to drive the next phase of our global growth, further cement our leading market position, and continue to best serve our clients.”

The acquisition of Trescal is EQT Infrastructure’s third investment in France after the European operator of nursing home facilities Colisee, and the French water services management company SAUR.

The transaction is subject to the consultation process or information of the Employee Representative Bodies, as well as antitrust and potential foreign investment clearances. It is expected to close in H1 2023.

With the acquisition of Trescal, EQT Infrastructure V is expected to be 80-85 percent invested (including closed and/or signed investments, announced public offers, if applicable, and less any expected syndication), subject to customary regulatory approvals.

Contact

EQT Press Office, press@eqtpartners.com, +46 8 506 55 334

About EQT

EQT is a purpose-driven global investment organization with EUR 114 billion in assets under management within two business segments – Private Capital and Real Assets. EQT funds own portfolio companies and assets in Europe, Asia-Pacific and the Americas and support them in achieving sustainable growth, operational excellence and market leadership.

More info: www.eqtgroup.com
Follow EQT on LinkedIn, Twitter, YouTube and Instagram

About Trescal

Trescal is a global leading operator of calibration laboratories. It offers an array of industries a single-source solution for calibration, measurement, repair, qualification, validation and asset management across the globe. Its technicians and experts carry out accredited and non-accredited calibrations for all measured variables and measuring instruments in all technical domains, whether physical, electrical or mechanical. Trescal’s 4,400 team members perform more than 3.3 million operations per year, including 27,000 repairs across 150,000 types of instruments and 20,000 brands. 

More info: www.trescal.com

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CVC agrees the sale of APRIL Group

CVC Capital Partners

After refocusing its activities around insurance distribution and carrying out an in-depth transformation of its business model since its acquisition by CVC Capital Partners Fund VII in 2019, enabling the group to return to a high level of performance, the APRIL Group announces that it has signed a long-term strategic partnership with global investment firm KKR. By teaming up with KKR, APRIL, which is already one of the leading insurance brokers in Europe, is preparing to accelerate its development and digitalization in the markets for borrowers, health and personal protection, niche property and casualty, international health insurance and wealth management in France and internationally.

With a turnover of €544 million in 2021, double-digit growth dynamics for 2022 and a nearly 20-point rise in its NPS, the APRIL Group has completed its transformation, achieving its objectives more than a year in advance. Building on this upward trajectory and its position as the French leader in wholesale insurance, the group has decided to take its ambitions to the next level and secure the means to become a key player at an international level.

To support this new stage of growth, the APRIL Group will now be supported by KKR, which, as a majority shareholder, will bring its global expertise in insurance and financial services.

The transaction will be subject to the usual legal and regulatory approvals.

Quotes

After a great collaboration with CVC… our aim is to continue the history of this great company and to make it a French champion

Eric Maumy President & CEO, APRIL Group

“The APRIL Group was created 35 years ago by a visionary entrepreneur. After a great collaboration with CVC Capital Partners, April recovered its original strength. Our aim is to continue the history of this great company and to make it a French champion on a global scale. This next chapter will be enabled by the management team, our 2,300 employees, and KKR, for the benefit of our partners and policyholders,” states Eric Maumy, President & CEO of APRIL Group.

Over the past three years, the APRIL Group has reinvented itself:

  • Organic growth of +8% in 2021 thanks to substantial work on products in France and worldwide across all its markets – loan insurance, health / personal protection, casualty niche insurance, international medical insurance – and entering a new market, property insurance, through the acquisition of Magnacarta;
  • Improvement in customer experience, as recognised by 24-point NPS;
  • Returned to its position as an industry leader, with all actors mobilised around the liberalisation of the loan insurance market;
  • Strengthened digital and technological capabilities, with the creation of the dedicated APRIL X hub and the acquisition of ELOA and Comparadise;
  • 800 employees recruited in three years;
  • International expansion, with offices opened in Germany and Dubai.

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